Servis-Terminal LLC v Drelle [2025] EWCA Civ 698 (05 June 2025)

Servis-Terminal LLC v Drelle [2025] EWCA Civ 698 (05 June 2025)

The bankruptcy order was set aside on jurisdictional grounds. The Trustees' interests could be protected by undertaking rather than by making the setting aside conditional. Costs of the appeals were awarded to Mr Drelle, but no order for costs was made for earlier hearings where the successful point was not raised.

Citation
[2025] EWCA Civ 698
Parties
Petitioner/respondent to the Appeal: Servis-Terminal LLC; Respondent to the Petition/appellant: Valeriy Ernestovich Drelle; Trustees: Trustees in Bankruptcy (Mr Robert Starkins, Mr Nicholas Nicholson, Mr Russell Parkin)
Jurisdiction
England and Wales
Judgment Date
05 June 2025
Procedural Posture
Appeal (civil) / Post Judgment Consequential Matters After Appeal Allowed
Outcome
Appeal allowed; bankruptcy order set aside; bankruptcy petition dismissed; consequential orders made.
Legal Topics
Setting Aside Bankruptcy Order, Costs, Trustee Remuneration, Jurisdictional Challenge
Insolvency Bankruptcy Civil Procedure Setting Aside Bankruptcy Order Costs Trustee Remuneration Jurisdictional Challenge

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Parties

Servis-Terminal LLC

Petitioner/respondent to the Appeal

Valeriy Ernestovich Drelle

Respondent to the Petition/appellant

Trustees in Bankruptcy (Mr Robert Starkins, Mr Nicholas Nicholson, Mr Russell Parkin)

Trustees

Procedural Posture

Appeal (civil) / Post Judgment Consequential Matters After Appeal Allowed

Legal Issues

  1. 1 Whether the bankruptcy order should be set aside
  2. 2 Entitlement to costs following successful appeal
  3. 3 Remuneration and expenses of trustees in bankruptcy

Ratio Decidendi

The bankruptcy order was set aside on jurisdictional grounds. The Trustees' interests could be protected by undertaking rather than by making the setting aside conditional. Costs of the appeals were awarded to Mr Drelle, but no order for costs was made for earlier hearings where the successful point was not raised.

Court Disposition

Appeal allowed; bankruptcy order set aside; bankruptcy petition dismissed; consequential orders made.

Orders

  • Trustees removed from office forthwith; estate reverts to Mr Drelle
  • No order for costs regarding set aside application or bankruptcy petition (including hearings before ICC Judge Burton and consequentials hearing)